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Development spending hits 20-year low
BY Insider Desk
July 24, 2025

Bangladesh’s Annual Development Programme (ADP) implementation rate has fallen to its lowest in two decades, as ministries and government agencies struggled to utilise allocated funds during the fiscal year 2024–25.
According to data from the Implementation Monitoring and Evaluation Division (IMED), only Tk 1.53 trillion, or 67.85% of the revised Tk 2.26-trillion ADP, was spent—marking a 13-percentage-point drop from the previous year’s 80.63%.
This is the lowest rate since FY 2005–06, the first year for which such data are available.
Analysts link the sharp decline to a mix of bureaucratic delays, restrained fiscal policy, and a cautious approach to project approvals amid economic uncertainty.
Street protests and political instability during the interim government’s tenure are also believed to have slowed implementation.
The Ministry of Health was among the worst performers, using only 21.74% of its Tk 5,673 crore allocation.
Other underperformers included the civil aviation and tourism ministry, the primary and mass education ministry–both falling below the average.
In contrast, autonomous and semi-autonomous bodies spent 93.21% of their Tk 10,165 crore outlay. The Power Division and Energy and Mineral Resources Division led among ministries, implementing projects at 98.10% and 90%, respectively.
Economists warn that the slow spending risks delaying critical infrastructure projects, undermining job creation and domestic investment.
Experts now call for a comprehensive reform of the ADP framework to improve future implementation.
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